Rock Island daily Argus. (Rock Island, Ill.) 1886-1893, 1887-02-02
RETIRE THE GREENBACKS.
SECRETARY MANNING PRESSES HIS
VIEWS UPON THE HOUSE.

He Again Urges the Retirement of the
Greenbacks and Repeal of the Silver
Coinage Law-Condition of the Treas
ury-Adyerse Report on the Mrs. Lo-
gan Pension-AIlison's Warning.
WASHINGTON CITY, Feb. 2-Secretary
Manning sent long communication to
Speaker Carlisle Tuesday in reply to recent
resolutions of the house of representatives re-
specting reissue of treasury notes and the de-
struction of United States notes, etc. The
first Of these resolutions inquired whether
any money appropriated in the sundry civil
bill, OF any other government money, had
been expended for the purpose of issuing
treasury notes of larger denominations i'll
lieu of notes of small denominations cancelled
or retired. Secretary Manning, after OBJ
| serving that he finds no authority to reissue
treasury notes, says that if a more patient
scrutiny or the statutes at large disclosed
such authority, he would not, except under
fresh instructions from congress, conceive it
duty to expend money for such purpose,
| and then adds that none of the appropria-
tons referred to, nor any other money be-
longing to the government has been ex-
pended for such purposes
The secretary then goes into a long argu-
| ment in favor of paying the greenback debt
| and repeal of the compulsory silver pur-
chase law. The secretary says thai another
| species of cur outstanding Indebtedness,
| namely, the legal tenders or greenbacks,
known in law as United States notes, are
equally, with what the law designates as
| treasury notes, beyond any need or excuse
| for reissue; that temporary notes, which are
| debt of principal only, like notes which
are a debt of principal and interest," should
at once be cashed and cancelled from the
abundant and suparfuous coin in hand not
now capable of being applied to any other
| use. The secretary SAYS:
This Is so obvious a principle of sound
| finance, such as a prudent citizen would ap-
ply to his private affairs, that any secretary
| OF the treasury would be subject to Just re-
proach for departure therefrom by reissues,
| were it not that the act of May 81, 1879,
seems to require of him that fiscal miSstep
And beg leave to submit TO the house the
| question whether, among many other rea-
| SONS for its repeal, the contraction Of the cur
rency sought TO be averted by that act can
| now in any other and better way be pre-
vented than by its repeal. The fact that the
SIC Isl ,0l6 of greenback debt is a green back
| currency, is so far from being a reason
against its payment that it Is the reason
which makes its payment aud destruction
| necessary; not without better currency to
| take its place, but such a currency is at
| hand. Also, a contraction of the currency
should be avoided. The substitution of a
| better currency for the greenbacks runs no
hazard OF contraction. But the consequences
| of not using our coin surplus thus are seri-
Gus. For, IN currency of some sort will the
years taxes be paid, and the excess of re
| ceipts over the authorized disbursements of
| the treasury would be the measure of the
contraction of the currency. This contrac-
| ton can Ike avoided by appropriations for an
extravagant and reckless outpour and ex-
pense like that Of war. 1t can also be avoided
by tine payment of debt. The first remedy
need not be discussed it is of course, as d rem
edy the most unworthy of the peoples re-
representatives.. The second remedy is all that
remains.
What debt, then, shall we payF' the sec
Rotary asks, and goes on to argue that it
would be an Inexcusable extravaganza to
diminish the bonded debt not vet due by an
! ticipatory purchase at high premium, when
under the operations of the sinking fund la W
every dollar of the national debt, greenbacks
| and all. can he cancelled by 1898.
| Anticipatory payment of funded debt at a
| high premium, while successfully getting cut
| OF the treasury Its currency tax surplus, and
| so preventing contraction in that form, is
| that method nevertheless, which would con-
| tract the currency IN another form by too
| suddenly diminishing national bank clrcula-
ton based on the funded debt. 1t is, there
| fore, necessary now, not only to reduce taxa
ton in order to prevent surplus tax collect
| ing from being currency contracting again
and again, but Ii Is necessary also TO employ
cur present and unavoidable tax surplus in
| the payment, not of funded but OF the IN
| funded debt. The peoples representatives, by
action before adjournment, can relieve the
secretary of the treasury from the bad choice
/ between these now present alternatives.
| The surplus coin and bullion which will re-
main in the treasury after all the bonds sub
Ject to call have been paid and before the
Flftieth congress will assemble together
| with the proceeds of surplus taxation which
will flow into the treasury before any pos
sIble reduction of taxes by the present con
greSs can take effect, constitute sum which
| can well be got out of the treasury into the
hands of the people-where it belongs-by
the pay ment of the greenback debt Coin
certificates are ready and superior paper
money to the greenbacks. The substitution
can be effected as a mere matter OF treasury
administration whenever two indispensable
conditions are first fulfilled by congress.
The repeal of the compulsory silver pur.
chases in the first and indispenSa bic condi-
ton, and the repeal of the compulsory post
redemption reissues of United States notes Is
| the next and only other condition These
two repeats are together necessary, the sscre-
tary insists, to prevent on the one hand an
extrayagant expense, and on the other hand
Z considerable contraction Of the currency.
Replying to the other resolutions OF liz
quirv about the cancellation of 81 and s
notes the secretary presents tables showing
that since of Aug. 4, 1856, there has been i
decrease by destruction of s., sci, So of ones
and 81, $50. 0S2 in twos; an increase of SI2,
UO0.00O i'll fives. and s., O00, 90 in SO notes